Buyers Showing Interest in Hyderabad Residential Market

Property buyers, who had mostly remained on the sidelines in the last twelve months post the bifurcation of Andhra Pradesh, are now showing keen fascination with the residential  property in Hyderabad  market.

Tracking the changed scenario, realtors acquired lands in probably the most sought-after locations in the town in the last quarter, and are now hopeful prices would see sustained uptick in the coming months.

Driving the positive sentiment one of the developers may be the upcoming Projects in Hyderabad of the metro rail project, and the political stability in the aftermath of bifurcation. The buoyant office market activity also offers helped regain the market momentum, starting from the past quarter of the last financial year.

He said developers were now “feeling comfortable” to raise prices while they expect sustained demand due to the low valuations here, in comparison to prices in other south metros.

He expects demand to outstrip supply in the Rs 3,000-4,000 per sft property segment as a majority of them lie along the metro rail corridor and enquiries have now been significantly higher over here. Overall, there could be around 20,000 new launches this financial year, he said.

 

However, developers are in “no rush” to launch new projects  and are backing up their plans with adequate bookings, in accordance with him.

Market consultant Cushman & Wakefield projects the town would see 45,000 residential launches next 36 months, with launches in the present fiscal to be around 14,000 units. Being truly a user-driven market, the projected supply was adequate, it said.

Consumer sentiment in the residential market took a strong beating due to prolonged uncertainty over the state bifurcation issue during 2010-2014. The period saw buyers holding back their buying plans and had remained on the sidelines on lack of clarity.

To kickstart demand during the lull phase (2010-14), developers here had offered discounts on unsold units, and many of them even postponed launches as prices weren't attractive.

“Buyers are clearly betting on the Hyderabad market whilst the rates listed here are 30-40 per cent below the similar offerings in Chennai and Bengaluru,”

t a recently held property show here, property developers said they received good enquiries for residential units priced in the number of Rs 45-75 lakh. "All of the consumers, who booked Luxury property in Hyderabad at the show were happy the values were low compared with other key metros in the south.